South East Water: Disruption of Supply Debate
Full Debate: Read Full DebateLindsay Hoyle
Main Page: Lindsay Hoyle (Speaker - Chorley)Department Debates - View all Lindsay Hoyle's debates with the Department for Environment, Food and Rural Affairs
(1 month, 3 weeks ago)
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I share the right hon. Gentleman’s outrage at the situation. He is quite right to say that one of the answers is the reservoir, which will take a long time to build, but this is not just about the reservoir. It is also about desalination plants, and the need for more urgent action to tackle leakage; too much water is lost through leakage. Across Government, we are looking at building standards for new homes and at how we can make homes more water-efficient, because this is a big problem. I hope that I can offer the right hon. Gentleman some reassurance by telling him that the National Infrastructure and Service Transformation Authority has been doing some mapping to identify areas of the country that have more acute water shortage problems and what we need to resolve them.
I asked the company, “What are the actions you can take now?” There is no excuse for poor communication; that is something it can fix overnight. It can also improve its relationship with the local resilience forum. That does not cost any money. It can look at its bulk supply deal with Southern Water—that is another action it can take. It can accelerate its work on leakage reduction—that is another action it can take. Fundamentally, though, the right hon. Gentleman is quite right: the answer is building reservoirs and having greater water storage across our country. Quite frankly, I think it is that we have a situation where we complain about the drought all through the summer and complain about the rain all through the winter, yet have no way of storing that water. I am urgently trying to change that.
I remind everybody that this urgent question is about South East Water, not other water companies. I am sure that all questions will be linked to that subject.
I share my hon. Friend’s outrage at the situation. He has been a fantastic champion for his constituents in raising this matter with me a number of times. On the immediate action that South East Water can take, we have said to the company that it needs to be prepared for future hot weather during the summer. What is its resilience plan, what actions will it take and where can it identify immediate actions to take? The longer-term solution is greater water storage. Fundamentally, this company is a water-only company. It has one job—that is all—and that job is to supply water, and it is, quite frankly, astonishing that it is failing to do that at the moment.
My hon. Friend will be aware that South East Water is under investigation by Ofwat and the Drinking Water Inspectorate as to whether, because of its recent credit downgrade, its licence conditions have been broken—so serious actions are being taken against the company. I will, of course, update the House as soon as I hear more about the actions it will be taking in the immediate short term. I should also say that the CEO has offered his resignation and the chair has already resigned. There is an interim chair, and the CEO is currently there while the organisation looks to replace him.
Thank you, Mr Speaker, for granting this urgent question from my right hon. Friend the Member for Herne Bay and Sandwich (Sir Roger Gale). I thank the Minister for her approach and engagement on this vital issue.
It is deeply regrettable that we are here yet again with unacceptable outages from South East Water following the events back in December and January. The shortage of water supply in Kent in these hot conditions has had a terrible impact on local communities: homes have been without water supply; schools and businesses have been impacted; farmers and horse owners, again, feared not having enough water for their livestock; and local residents have lost confidence in their water supply and are switching to bottled water. That is simply outrageous.
These repeated failures from South East Water are simply not good enough. We have heard repeated accounts about poor communication and logistics from South East Water, including difficulties in accessibility to collect bottled water, compromising vulnerable residents. Can the Minister please provide guidance on what is being done to ensure that, moving forward, people can reliably access adequate supply, particularly vulnerable households? What is being done to ensure that vital healthcare delivery can continue uninterrupted? In these hot conditions, what measures can be put in place so that farmers and horse owners have enough water for their livestock? What meetings has the Minister had with South East Water, Ofwat, the Drinking Water Inspectorate, local resilience fora and affected councils since this latest disruption?
We have seen resignations at the top of South East Water, but we are yet to see any change in performance. What enforcement action is being considered against South East Water if it is found again to have failed its statutory duties? What investment has South East Water committed to improve resilience in Kent, Sussex and other areas, and how will Ministers ensure that it is delivered? Do the Government accept that repeated water outages are unacceptable, and what steps will Ministers take to support people in South East Water’s area so that they do not face yet another period of interrupted supply?
My hon. Friend makes a powerful point. As the White Paper set out:
“Where a water company might want to transition to a new ownership model, such as a not-for-profit, the regulator will develop a transparent process to assess whether a water company’s requested move to a new model should go ahead”.
We are looking at developing a transparent process, if that is something that the water company might want to consider.
My hon. Friend is absolutely right about increasing the customer voice. On day one when this Government came to power we announced new consumer boards for water companies. The Consumer Council for Water has covered the entire country, gathering together different people for customer panels. It has already held a customer panel in the South East Water area, so that customers can hold water company bosses to account—it works very much like a Select Committee hearing. I will share the report from that panel with the House. It is interesting that the No. 1 issue that came up for the water company to tackle was the lack of adequate communication. That does not require millions or billions of pounds spent on a reservoir—it just requires competence.
Leaving thousands of South East Water customers without access to drinking water has become a pattern of neglect, enabled by a water system that fails to hold water companies accountable for their actions. Whether it is environmental disruption or consistent water disruption, this situation is simply unacceptable, but the Government’s timid reforms do not rise to the scale of the challenge. We do not need more tinkering—we need a total structural overhaul. Given the repeated failures in water supply and sewage pollution in the South East Water area and across the country, will the Minister back Liberal Democrat proposals for a mutually owned public benefit model for water companies, focusing investment on the environment, customers and infrastructure, rather than on lining the pockets of the bosses of water companies such as South East Water?
Several hon. Members rose—
Order. I will gently say that the question was about South East Water. The Minister has opened it up by mentioning other water companies, but it would be more helpful if we could concentrate on the theme. I am going to test that by calling Clive Efford; I think his constituency is covered by Thames Water, but I am sure that he will link his question in.
Absolutely, Mr Speaker: my question is about South East Water, because what we have here is a company that fell over at the first short period of hot weather. We have to wonder what planning has gone on in that company, given that it fell over so quickly in the season. When are we going to call time on these water companies? The consistent failure that we see from them, while they extract enormous profits from the industry, has to come to an end at some stage. I know that my hon. Friend is as frustrated with these water companies as the rest of us, but there must come a time when we say to them, “Enough is enough”, and take control of them for the public good.